$700M Stainless Steel Plant Will Soon Rise in the Philippines

A $700 Million stainless steel plant will soon rise in the Philippines after Global Ferronickel Holdings Incorporated has signed a Memorandum of Understanding (MOU) with China's Baiyin Nonferrous Group Company.

China's Baiyin Nonferrous Group Co., considered as one of the the biggest steel manufacturer in mainland China. The agreement between the Philippine company and the Chinese company is the result of Pres. Rody Duterte's recent state visit to China.

According to the deal signed by both the Philippine and Chinese companies, the financing aspects will be shouldered by the Chinese company to be implemented by Global Ferronickel. The Philippine company will also make ways to develop its existing mines in Ipilan, Palawan with the help of Baiyin.

The news made international headlines after Bloomberg Market made an article showcasing the establishment of the $700 million stainless steel plant in the Philippines which is expected to boost the Philippines economic growth as steel is the primary products used in many applications from construction to machines to automotive parts.

The MoU signed by the two companies, was confirmed by both Global Ferronickel and its Chinese counterpart. Global Ferronickel Chairman Joseph Sy was quoted as saying "We recognize the importance of promoting close cooperation with China to spur economic growth in the country," the chairman said.